LOWES COMPANIES INC (LOW) Factsheet
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LOWES COMPANIES INC (LOW) Stock Analysis
Analysis from 10-Q filed 2026-08-27. Data as of Q3 2026.
Overall Grade: F (Concerning)
Grade F (Concerning). ROIC 23.9%. FCF margin 7.7%. D/E -5.0x. Source: 10-Q filed 2026-08-27.
| Metric | Value | Context |
|---|---|---|
| ROIC | 23.9% | Above industry average |
| FCF Margin | 7.7% | Healthy cash flow |
| Debt/Equity | -5.0x | Conservative leverage |
ROIC 23.9% — Top 10% of sector peers. FCF margin 7.7% — Top 50%.
Explore LOWES COMPANIES INC: Earnings History | Filings
Programmatic access: Available via MCP at mcp.metricduck.com. Tools for LOW: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.
Profitability: LOWES COMPANIES INC earns 23.9% ROIC, Top 10% in Consumer Discretionary
ROIC TTM 23.9%, sector median 5.8%, Top 10%. DuPont: NOPAT margin 8.6% × asset turnover 1.7x. Gross margin 33.1%. Operating margin 11.4%. Source: 10-Q filed 2026-08-27.
| Metric | LOW | Rating | Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 23.9% | Excellent | Above sector median of 5.8% |
| Return on Equity (ROE) | -68.2% | Red flag | Moderate equity returns |
| Gross Margin | 33.1% | Good | Competitive pricing environment |
| Operating Margin | 11.4% | Good | Moderate operational efficiency |
Cash Flow: LOWES COMPANIES INC generates $7.0B FCF at 7.7% margin, positive NaN/8 quarters
FCF TTM $7.0B. FCF margin 7.7%, Top 50%. OCF/Net income 1.4x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2026-08-27.
| Metric | LOW | Rating | Context |
|---|---|---|---|
| Free Cash Flow Margin | 7.7% | Adequate | Healthy cash generation |
| Free Cash Flow (TTM) | $7.0B | Good | Positive cash generation |
| OCF/Net Income | 1.4x | Excellent | High earnings quality |
| FCF Consistency (8Q) | N/A | Warning | Variable cash flow |
Balance Sheet: LOWES COMPANIES INC at -5.0x leverage, 6.6x interest coverage
Debt/Equity -5.0x. Total debt $37.6B, cash & investments $3.4B. Interest coverage 6.6x. Source: 10-Q filed 2026-08-27.
| Metric | LOW | Rating | Context |
|---|---|---|---|
| Debt to Equity | -5.0x | Excellent | Conservative capital structure |
| Net Cash Position | $-34.1B | Warning | Net debt position |
| Interest Coverage | 6.6x | Good | Comfortable debt service |
Valuation: LOWES COMPANIES INC trades at 15.6x earnings
P/E 15.6x. EV/Sales 1.5x. FCF yield 6.8%. Dividend yield 2.6%. Source: 10-Q filed 2026-08-27.
| Metric | LOW | Rating | Context |
|---|---|---|---|
| P/E Ratio | 15.6x | Adequate | Reasonable valuation |
| EV/Sales | 1.5x | Excellent | Attractive revenue multiple |
| FCF Yield | 6.8% | Good | Attractive cash return |
| Dividend Yield | 2.6% | Adequate | Growth focus over income |
Capital Allocation: LOWES COMPANIES INC returns 3.1% shareholder yield
Total shareholder yield 3.1% (div 2.6% + buyback 0.4%). Share count +0.0% YoY. Capital returned $3.2B TTM. Source: 10-Q filed 2026-08-27.
| Metric | LOW | Rating | Context |
|---|---|---|---|
| Total Shareholder Yield | 3.1% | Good | Dividend + buyback yield combined |
| Buyback Yield | 0.4% | Adequate | Minimal buyback activity |
| Share Count Change (YoY) | 0.0% | Adequate | Net dilution from issuance/SBC |
| Total Capital Returned (TTM) | $3.2B | Good | Dividends + buybacks returned to shareholders |
Sector Rankings
| Metric | Value | Percentile | vs Median |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 23.9% | Top 10% | 4.1x above |
| Free Cash Flow Margin | 7.7% | Top 50% | 2.2x above |
| Gross Margin | 33.1% | Bottom 50% | 0.9x below |
| Operating Margin | 11.4% | Top 25% | 2.8x above |
| Return on Equity (ROE) | -68.2% | Top 5% | -6.9x below |
| P/E Ratio | 15.6x | N/A | - |
Financial Scorecard
| Metric | LOW | Rating | Sector Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 23.9% | Excellent | Top 10% of sector (median: 5.8%) |
| Free Cash Flow Margin | 7.7% | Adequate | Top 50% of sector (median: 3.5%) |
| Gross Margin | 33.1% | Good | Bottom 50% of sector (median: 38.6%) |
| Debt to Equity Ratio | -505.0% | Excellent | Conservative capital structure |
| P/E Ratio (Price-to-Earnings) | 15.6x | Adequate | Fair value |
| Free Cash Flow Yield | 6.8% | Good | Solid cash yield |
Frequently Asked Questions
Q: What is LOWES COMPANIES INC's Return on Invested Capital (ROIC)?
LOWES COMPANIES INC (LOW) has a trailing twelve-month Return on Invested Capital (ROIC) of 23.9%. The 8-quarter median ROIC is 28.4% with a declining trend. Sector median 5.8%. Source: 10-Q filed 2026-08-27.
Q: What is LOWES COMPANIES INC's Free Cash Flow Margin?
LOWES COMPANIES INC (LOW) has a free cash flow margin of 7.7%, generating $7.0 billion in free cash flow over the trailing twelve months. Source: 10-Q filed 2026-08-27.
Q: What is LOWES COMPANIES INC's P/E ratio and how does it compare to peers?
LOWES COMPANIES INC (LOW) trades at a P/E ratio of 15.6x, which is above the sector median of N/A. EV/Sales 1.5x. FCF yield 6.8%. Source: 10-Q filed 2026-08-27.
Q: Does LOWES COMPANIES INC pay a dividend?
LOWES COMPANIES INC (LOW) currently pays a dividend yield of 2.6%. Total shareholder yield (dividend + buybacks) 3.1%. Source: 10-Q filed 2026-08-27.
Q: What is LOWES COMPANIES INC's revenue and earnings growth?
LOWES COMPANIES INC (LOW) grew revenue by 8.2% year-over-year. EPS -2.7% YoY. Source: 10-Q filed 2026-08-27.
Q: Is LOWES COMPANIES INC buying back stock?
LOWES COMPANIES INC (LOW) repurchased $464.0 million of stock over the trailing twelve months. This represents a buyback yield of 0.4%. Share count +0.0% YoY. Source: 10-Q filed 2026-08-27.
Q: How does LOWES COMPANIES INC compare to competitors in Consumer Discretionary?
Compared to other companies in Consumer Discretionary, LOWES COMPANIES INC (LOW) shows: ROIC 23.9%, sector median 5.8% (Top 10%). FCF margin 7.7%, sector median 3.5% (Top 50%). Gross margin 33.1%, 5.6pp below sector median. These rankings are based on MetricDuck's analysis of all Consumer Discretionary companies with available SEC filings.
Q: What warning signs should I watch for with LOWES COMPANIES INC?
Quantitative warning flags for LOWES COMPANIES INC (LOW): 1) ROIC declining -5.6% over 8 quarters. Source: 10-Q filed 2026-08-27.
Data Source: Data sourced from 10-Q filed 2026-08-27. TTM metrics as of Q3 2026.
Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.
Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.
This analysis is for informational purposes only and does not constitute investment advice.